HI Contracts

Which of these categories of agency representation can a buyer or seller select in Section A of the HAR purchase contract?

General agency

Single agency

Sub-agency

Transaction brokerage

Single agency

Hawaii recognizes only single agency (for the buyer or seller) and dual agency. Buyers and sellers may also choose "no agency representation" in this section of the contract.

What does Section R of the HAR Purchase Contract state regarding future rent and renters?

If the proper checkbox is marked, the brokerage firm and seller guarantee availability of future renters.

If the property has been previously held as a rental, the contract contains an addendum with rental pool information.

If the property has been previously held as a rental, the contract guarantees a similar rate of return for the new buyer.

Neither the brokerage firm nor the seller make any guarantees related to rental income or available renters.

Neither the brokerage firm nor the seller make any guarantees related to rental income or available renters.

Which of these statements about net listings in Hawaii is true?

They don't include compensation for the buyer's agent.

They guarantee that the listing agent will earn at least some commission.

They're discouraged because of the inherent conflict of interest.

They're illegal in Hawaii.

They're discouraged because of the inherent conflict of interest.

Peggy and Myrtle, who are neighbors, enter into an agreement to not permit their real estate agents to sell their homes to families with children. This agreement lacks ______, so it's void.

A lawful objective

A mutual agreement

A purpose

Two parties

A lawful objective

Makoa has received an offer on his Oahu property, but the buyers have to sell their current home before they can afford to purchase his home. He doesn't like this. What if another offer comes in that doesn't have a sale contingency? How can he protect himself?

Include a kick-out clause in the sales contract

Not list the property as pending

Offer to buy the buyer's home

Require a non-refundable earnest money deposit

Include a kick-out clause in the sales contract

Which of the following items are included in the HAR Buyer Representation Contract?

The amount the buyer has been pre-qualified for

The compensation the buyer's brokerage firm will receive

The duties that buyers and sellers owe to each other

The home's sales price

The compensation the buyer's brokerage firm will receive

Which of these statements about Hawaii purchase contract contingencies is true?

All contingencies are prepared using separate HAR contract addenda.

Hawaii real estate regulations prohibit the inclusion of purchase contract contingencies.

The buyer and seller must employ an attorney to write a contract that includes contingencies.

The HAR purchase contract includes provisions that address most contingency issues.

The HAR purchase contract includes provisions that address most contingency issues.

Which of the following elements is always required for a Hawaii real estate contract to be valid?

Attorney review

Consideration

Earnest money

Profit

Consideration

Bobbie and Samantha enter into a contract for Samantha to purchase Bobbie's home. Bobbie decides he doesn't want to sell, and is elated when he finds out that Samantha is only 17 years old. Can Samantha force Bobbie to sell?

No, because Samantha can't legally enter into a contract.

No. She can purchase the house if Bobbie doesn't object, but can't do so if he objects.

Yes, as long as she gets a legally competent party to co-sign the contract with her.

Yes, Samantha can require that Bobbie fulfill the contract terms.

Yes, Samantha can require that Bobbie fulfill the contract terms.

Which of these statements about contract contingencies is FALSE?

Contingencies must be met or waived before closing.

Contingencies relate to specific events that must occur by a given deadline.

The party who benefits from a given contingency may not waive the contingency.

The property inspection contingency is one of the most common contract contingencies.

The party who benefits from a given contingency may not waive the contingency.

Who are the parties to the HAR Buyer Representation Contract?

The buyer and brokerage firm

The buyer and seller

The buyer's agent and the seller's agent

The seller and brokerage firm

The buyer and brokerage firm

Arliss is selling the Maui townhome she's lived in for six years. Her new home includes all new appliances. How does she inform buyers that she intends to leave the kitchen and laundry room appliances in the home?

It's assumed that if the appliances are on the property when a buyer sees it, they're included.

She'll add an Inclusions Addendum to the purchase contract.

They'd be listed in the property inventory list.

They're noted in the inclusions section of the contract.

They're noted in the inclusions section of the contract.

The purchase contract inclusions section permits sellers to indicate those items of personal property that they'll be leaving on the property.

Which of these acknowledgments do buyers and sellers make by signing the HAR Purchase Contract form?

The brokerage firm makes no guarantee as to the tax map key.

The brokerage firm must ask permission before placing any ads or property signage.

The buyers are purchasing the property in as-is condition.

The seller makes no guarantee regarding the property's future resale value

The seller makes no guarantee regarding the property's future resale value

Which of these is an example of a brokerage disclaimer you'd find in a Hawaii purchase contract?

Buyers and sellers must agree to first try mediation to resolve any disputes that arise.

Licensees may not act as dual agents in a Hawaii real estate transaction.

The brokerage firm hasn't made any representations about property boundaries.

The seller isn't liable for the brokerage firm's failure to perform its obligations.

The brokerage firm hasn't made any representations about property boundaries.

What disclosure appears in Section R, Brokerage Firms Services and Disclaimers, of the HAR Purchase Contract?

Affiliated business relationships

Brokerage relationships

Licensee's ownership interest

Licensing status in listed property transaction

Licensing status in listed property transaction

Licensees aren't permitted to acquire any type of interest in a property listed with their brokerage firm without disclosing that relationship in this contract section.

In Section T of the HAR Purchase Contract, the seller has three choices as to the disposition of the offer. The seller may elect to not sign the offer or to sign the offer to either accept it or to amend the contract with a ______.

Agreement to compensate broker

Counter offer

Purchase and sale addendum

Seller's acknowledgement of offer

Counter offer

By signing the offer, the seller is either accepting it as it was made or presenting the buyer with a counter offer.

Hawaii's laws around consent require that Hawaii contracts be signed without undue influence or duress. Which of these situations is an example of duress?

Lokelani cries and acts as if she's distraught over her mother's safety to get her mother to move out of the family home.

Lono describes to his mother the reasons that her property won't sell for as much as she thinks it should.

Maik shows her grandmother information from properties that really aren't comparable to hers to convince her to sell the property at a reduced price.

Nalani threatens to expose a family secret if Oke refuses to agree to sell their house.

Nalani threatens to expose a family secret if Oke refuses to agree to sell their house.

Adrienne made an offer on Sienna's property, and Sienna accepted. Which of these statements about the inspection deadline is true?

Adrienne and Sienna will negotiate the inspection deadline separately from the purchase contract.

Adrienne and Sienna will negotiate the inspection deadline when negotiating the purchase contract.

Hawaii statutes determine the inspection deadline.

The lender determines the inspection deadline based on the loan deadlines.

Adrienne and Sienna will negotiate the inspection deadline when negotiating the purchase contract.

What's the primary content in Section R of Hawaii's purchase contract?

Buyer and buyer's agent signatures

General provisions and definitions

Scope of brokerage services and disclaimers

Seller and seller's agent signatures

Scope of brokerage services and disclaimers

What's the purpose of the additional checkboxes in Section T of the HAR Purchase Contract that identify parties to the contract as a foreign, non-resident, or owner occupant?

To identify the current status of the seller as foreign, non-resident, or owner-occupant

To identify the status of the contracting parties to escrow and other responsible parties so closing withholdings and charges can be made properly

To identify whether fair housing laws apply

To put the seller on notice that a foreign or non-resident status has been reported

To identify the status of the contracting parties to escrow and other responsible parties so closing withholdings and charges can be made properly

The primary purpose of the checkboxes identifying parties as foreign, non-resident, or owner- occupant is to identify the status of both parties so the closing officer can correctly calculate related closing withholdings and charges.

A valid Hawaii contract must include which of these elements?

Counter-offer

Electronic signature

Fairness clause

Legally competent parties

Legally competent parties

Alexandra has a mortgage contingency in his sales contract with the seller. Based on this information, which of the following statements is true?

If Alexandra can't meet the terms of the agreement due to the inability to obtain a loan, the agreement is terminated.

If Alexandra can't obtain a loan, his broker will loan him the money so that the deal can go through.

If Alexandra can't obtain a loan, the agreement is placed on hold until he can find a lender who will lend him the money.

If Alexandra can't obtain a loan, the seller is forced to drop the price of the property so Kahuna can afford to purchase the home.

If Alexandra can't meet the terms of the agreement due to the inability to obtain a loan, the agreement is terminated.

Which of these property descriptions is most likely to appear in a Hawaii purchase contract?

2-4-2-001-045 CPR23

Commencing at the intersection of Routes 12 and 95, thence south along Route 95 375 feet, thence east 65 degrees 500 feet, thence north 2 degrees east 200 feet, more or less, thence west to the point of beginning

Lot 170, Block 12 of the Kilauea West subdivision

The NW ¼ of the SW ¼, S6, T1S, R 60W

2-4-2-001-045 CPR23

Regarding the need for consent for a Hawaii contract to be valid, which of the following exists when an act of persuasion overcomes another person's free will and judgment?

Duress

Fraud

Innocent misrepresentation

Undue influence

Undue influence

How does the HAR Purchase Contract address changes to the scheduled closing date?

Automatic closing date extensions are illegal in Hawaii.

The contract form allows for unlimited closing date extensions.

The HAR contract does not address automatic extensions.

The parties may choose whether or not to permit one automatic extension.

The parties may choose whether or not to permit one automatic extension.